The Underestimated Impact of Data: Why Executives Need to Lead Data Discoveries
Change comes from the top. For your organisation to fully utilise its data, employees need to first be supplied with the appropriate support, processes, and technology. Once all of these elements are in place, you can begin making data-driven decisions, gaining a better understanding of your organisation’s inner workings, relationships with customers, and logistical challenges.
Moving Your Organisation Towards Better Data Discoveries
Executive management, operations, and sales are the primary driving forces behind the adoption of business intelligence strategies. Yet there are still growing pains with new data management techniques. Though it has been proven that the right analytic data can disrupt entire industries, many C-suite executives aren’t clear on how the data is able to do so.
Even organisations currently collecting large volumes of data may not precisely understand how that data can benefit them; instead, they may only be abstractly aware that their data holds the answers.
It’s not enough for an executive to know that data is important: executives must understand how and why this data is used. Otherwise, it becomes impossible for an organisation to launch meaningful data-related initiatives, and it makes it impossible for executives to engage in truly data-driven decisions.
Driving your organisation towards better data discovery begins with understanding how data works and what it can do to improve your current processes.
The Positive Impact of Completely Utilising Business Data
Business intelligence (BI) is the process of compiling, controlling, and utilising your business data. Through better data, your organisation is able to make data-driven decisions — decisions that are rooted in evidence. The more data your organisation has, the easier it is to get far more predictable results that can help define your strategy. Better data also leads to reduced risk and helps drive success.
An organisation with a solid connection to its business-related data will be able to pivot quickly. It can cascade changes throughout the organisation with greater speed, remains more agile, and able to evolve quickly to adapt to changes.
Organisations with well-analysed data can identify sources of potential revenue faster, and in so doing, can outpace their competition.
Through better data, organisations are able to identify patterns in their business processes that could otherwise be invisible to the human eye. Businesses are able to simulate a myriad of different environments and situations, and are able to identify any potential risks, complications, or opportunities that could arise. By simulating their business decisions, organisations are able to make better decisions overall.
Yet it can be difficult for an organisation to achieve full control over its data — and once the data has been compiled, it can be difficult for the organisation to analyse its data in a meaningful way. To create a truly data-oriented and data-driven company culture, executives must be willing to lead the company into digital transformation.
Executives not only provide an example for the rest of the organisation, but are also in charge of a multitude of aspects that can make data collection and analysis easier.
Building Data Processes That Drive Data-Driven Decisions
Organisations must dedicate themselves to the pursuit of comprehensive, usable, and consistent data. Often, this means creating data management and data analysis processes throughout all levels of the organisation. For this to be effective, leadership involvement is critical.
The most common barriers to developing business intelligence are a lack of a few specific resources: understanding, time, technology, and open architecture.
To lead data discoveries, executives must:
- Be aware of the changes and advancements being made in business intelligence.
- Leaders need to understand data and related technology if they are to make educated decisions.
- Create an effective data infrastructure.
- An organisation must be able to store and access its data in a consolidated and consistent way, without the need to spend large amounts of time administering and correcting its data.
- Empower employees to be in charge of data.
- Management and higher-level employees must understand how data is being used and be responsible for the collection and routine analysis of this data.
- Track changes in data.
- At appropriate intervals, an organisation must analyse its collected data to look for patterns and trends. Data that is never analysed may as well not be collected.
- Find the right talent to protect data.
- Employees must be familiar with data management and data analysis. Data-efficient and more talented employees will lead to improved analysis and innovation.
- Take action to invest in data.
- Investments in data will ultimately benefit the organisation, as profits will rise while expense decreases. Leaders in the organisation would do well to invest in data collection and analytics.
By supporting data discoveries, an organisation can drive innovation while remaining agile and open to change. More data for an organisation means additional opportunities to grow and develop, while also giving it the information it needs to avoid potential risk.
Yet organisations are not able to support data discoveries unless the organisation’s leadership supports data discoveries. Those in leadership positions must be especially conscientious of this fact, as it is their responsibility to lead their organisation into the future.
If your organisation isn’t using business intelligence and analytic data, it may be falling behind.
Business intelligence is only one example of how the business landscape is rapidly changing.
TEC can connect you to an immense network of colleagues and mentors, helping you make better business choices, and providing you the support you need to find better business tools and strategies. Contact TEC today to find out more.